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Adani-CATL Talks Signal a Potential Power Shift in India’s Battery Manufacturing Landscape

Adani Group Chairman Gautam Adani recently visited CATL headquarter in China suggesting a potential strategic collaboration between the two in battery manufacturing. If realised it could strengthen domestic battery manufacturing, ensure reliable supply for the EV and hybrid renewable energy projects and spur deep R&D and innovation in ESS.

June 17, 2025. By Mrinmoy Dey

In a development that could reshape India’s battery manufacturing landscape, Gautam Adani, Chairman of the Adani Group, has held high-level discussions with lithium-ion battery maker Contemporary Amperex Technology Co. Ltd. (CATL)’s management at CATL headquarter in China.

“During the visit, Adani toured CATL's energy storage system automated production line and gained a detailed understanding of the ‘Cell + Module + Container’ manufacturing process. CATL also introduced the company's history and technical advantages like R&D progress on sodium-ion battery,” said Wang XU, South Asia Director of CATL ESS in a social media post.

He further added, “We hope this strategic visit and in-depth discussions will contribute to providing India with highly resilient and efficient clean energy.”

The visit and strategic talks come on the heels of India’s recent policy moves including import duty exemptions for battery cell manufacturing equipment, designed to spur domestic production. With India’s energy storage market primed for explosive growth – with an estimated 120 GWh battery demand by 2030, the timing of a potential Adani-CATL collaboration could be apt.

CATL, which supplies more than one-third of the world’s EV batteries and counts Tesla, BMW, and Volkswagen among its clients, has led innovations in advanced chemistries like cobalt-free LFP and emerging sodium-ion cells – technologies well-suited for resource-constrained markets like India.

Pairing CATL’s cutting-edge battery tech with Adani’s infrastructure scale and capital depth could trigger a seismic shift in India’s clean energy ambitions. From EV production and charging networks to grid-scale storage and industrial backup power, the potential partnership spans a wide spectrum.

If realised, the alliance could lead to the setup of a gigafactory in India, drastically accelerating the country's battery manufacturing capabilities and cutting dependence on imports. Industry insiders speculate that LFP cell production, in particular, could be the focus — a pragmatic choice given India’s hot climate and growing need for safe, long-duration stationary storage.

The move aligns perfectly with India’s 2030 target of 500 GW non-fossil energy capacity. A domestic battery base would also ensure a reliable supply for solar and wind projects with co-located BESS projects, reducing curtailment risks and stabilising the grid.

Crucially, a partnership with Adani could sidestep regulatory scrutiny that often accompanies direct Chinese investments, with the potential for technology transfer or licensing through an Indian conglomerate.

As for the potential impact of the move, domestic cell production could address the EV sector’s biggest bottleneck i.e. battery costs, boosting adoption and supply chain security for Indian OEMs. Further, Adani’s existing gas networks and growing EV charging footprint could be supercharged with battery storage, creating holistic refuelling ecosystems.

Additionally, with India tendering 6.1 GW of standalone energy storage in Q1 2025 alone, CATL’s high-capacity solutions like the TENER 6.25 MWh unit could meet surging utility-scale demand if manufactured locally.

The demand for BESS solutions is rising in the commercial and industrial (C&I) segment including data centres, telecom networks, hospitals, and factories. Local production could bring down the cost further accelerating adoption while also ensuring reliable supply.

In the long term, a strategic collaboration of this magnitude could catalyse the development of a full battery value chain in India including raw material refining, cell recycling, and deep R&D.

While a potential strategic collaboration will provide CATL access to India’s fast-growing BESS and EV market, Adani could gain a technological edge in battery manufacturing and tap into the domestic demand.

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